United Angers Frequent Fliers By Calling Some `Over-Entitled’

At any company, it’s probably not a good idea to insult loyal customers.

A comment by the chief financial officer of United Continental Holdings Inc. that some of the airline’s frequent fliers were “over-entitled’’ has drawn fire at online travel forums, where fliers are still fuming over United’s computer problems this year.

The comment by CFO John Rainey referred to changes United made as it merged its frequent-flier program with Continental Airlines. Some benefits given to elite-level United members were dropped, angering some customers, while other members saw an improvement in perks as the merged airline created one set of program rules. In addition, United added a new tier for fliers who accumulate 75,000 miles a year, elevating them in priority and making it harder for members at the 50,000-mile level to score upgrades and other perks.

United said Mr. Rainey was specifically referring to a change that makes it more difficult for the lowest of the elite frequent-flier levels — customers who earn 25,000 miles a year — to nab seats in the Economy Plus coach section, which has added legroom. In some markets, lower-level elites got so many of the Economy Plus seats that there were no seats left there for late-booking, high-fare, high-status passengers. United used to let the lowest elite level reserve Economy Plus seats at booking. But as of March 3, the lowest tier of elite level members can only reserve Economy Plus seats for free at check-in.

United has been vexed by computer problems this spring, from lost reservations to denied upgrades, as it migrated to Continental’s reservation system. (Click here for an earlier computer issue post.) The problems triggered a rash of FlyerTalk members to jump at an offer by American Airlines to instantly match their elite-level status if they switched loyalty to American. One small-business owner turned in $132,000 worth of tickets for refunds—and posted on FlyerTalk that he received a call from a United sales manager acknowledging problems with the computer switchover.

Before that, changes to “lifetime’’ benefits for United customers who reached one million miles set off vocal complaints that the airline both degraded their status and misled them by stating early on there would be no changes to benefits. (That article is here.) United claimed for most members, benefits were enhanced.

“And now we’ve realigned the benefits of that program with what the customers and program participants are actually providing to the program,’’ Mr. Rainey said.

Translation: An airline’s best customers these days are those who buy expensive tickets, not necessarily those who fly a lot on cheap tickets. Airlines have been struggling to realign their loyalty programs to reward dollars spent more than miles traveled. Some have been more diplomatic about it than others.

Comments (5 of 50)

http://sacitgurel.com/us-classicslingbacknice2z1020.asp?jimmy-choo-c-47.html wrote :

Goal! Goal! Liverpool 4, Tottenham Hotspur 0. Jordan Henderson (Liverpool) from a free kick with a right footed shot to the bottom right corner.

2:11 pm June 15, 2012

Soon be Ex Unite FF wrote :

I am United 1K member (flew 190K last year). Just flew united yesterday from ORD to SFO and I was number 1 on waiting list for upgrade ($1400.00 ticket) with 3 seats available. And you know what I was still number 1 in waitlist when flight left. So what happen, United told me that is someone is lower in Waitlist but pay a amount calculated by United then he will gets the upgrade. That means that United does not care for FF but only money.

Here are few bad thing happened since merger:
1. Coffee
2. FF Upgrade
3. Special Meal in First Class
4. FF Need to pay for upgrade
5. If you wish to get upgrade, book in W class or higher fare
6. You have to pay $7.99 or $5.99 for Entertainment
7. Regional and System wide upgrade does not matter anymore.

3:29 pm May 29, 2012

@James Anderson wrote :

Thanks for posting.

6:08 pm May 28, 2012

Davidhstevens wrote :

I'm 1k, global services, million miler - I have never been so angry at an airline. Their problems are not behind them. Their computer system is a nightmare, their service is abysmal, and the mixed up seating....like when I purchase first class but they accidentally sit me in the back of the plane when the equipment changes - no premier zone or anything....its friggin unreal. They .......what's that word?..........Oh yes, SUCK! fire the ceo, and fix the damn mess!

2:55 pm May 25, 2012

Ex-Proud Owner wrote :

I'd check the pax manifest left in the galley by the FAs and notice that an arrival to SFO from IAD had virtually each seat filled by an elite status flier. That got me wondering how they could provide special service to anyone when the whole plane was full of special customers. Maybe the Frequent Flier programs are oversold?

About The Middle Seat Terminal

Scott McCartney writes The Middle Seat every Thursday. The Wall Street Journal’s Travel Editor, Scott has been on the airline beat since 1995 — long enough to see it go from bust to boom and back to bust. He also writes a blog on travel at The Middle Seat Terminal.

Scott won the Online News Association award for online commentary in 2003 for “The Middle Seat,” the George Polk Award for transportation reporting in 2000, and has been honored by the Deadline Club and New York’s chapter of the Society of Professional Journalists. Before joining the Journal in 1993, he spent 11 years at The Associated Press.

Scott, a native of Boston and graduate of Duke University, is the author of four books, includingThe Wall Street Journal Guide to Power Travel: How to Arrive with Your Dignity, Sanity, and Wallet Intact, which was published in 2009. He’s also an instrument-rated private pilot.